INNOVATION

2011 SOUTH EAST ASIAN REGIONAL WORKSHOP ON SCIENCE, TECHNOLOGY AND INNOVATION

INDICATORS UNESCO INSTITUTE FOR STATISTICS (UIS)

Presented by:Sabrina binti Kamin5 – 8 December 2011

Hanoi, Vietnam

PRESENTATION OUTLINE1. Background of National Survey of Innovation, Malaysia

2. Objective

3. Methodology

4. Survey Activities

5. Coverage

6. Data collection

7. Sample size

8. Response rate

9. Malaysia Experience

10. Main finding

11. Timeline

BACKGROUND

1995 - National Survey of Innovation in Industry 1997 - 1999 : National Survey of Innovation 2000 - 2001: National Survey of Innovation 2002 - 2004 : National Survey of Innovation 2005 - 2008 : National Survey of Innovation 2009 - 2011 : NSI-6 (2012)

OBJECTIVE To collect and compile time series of

data pertaining to innovation activities in the manufacturing and services sectors.

The output from the study shall be used by policy makers in analysing and understanding the diffusion, usage and practice of innovation in Malaysia.

OBJECTIVE (cont.) To monitor and develop national innovation

parameters (specific to Malaysia) for the purpose of comparison at international level;

To provide suggestions in improving the innovation level of the Small and Medium Enterprises (SME);

To identify major challenges in implementing innovation;and

To identify the impact and effectiveness in the diffusion and practice of innovation.

METHODOLOGY Based on the OECD’S OSLO MANUAL (Third

Edition, 2005)

Type of survey: Not compulsory to the respondents

Survey method: Sample

SURVEY ACTIVITIES

1. Basis For Methodology Development 2. Coverage 3. Sampling Strategy4. Data Collection5. Design of Questionnaire6. Actual Survey7. Data Processing And Analysis8. Quality Assurance

BASIS OF METHODOLOGY DEVELOPMENT

Development of The Term of Reference (TOR) - Methodology and Scope

Guidelines set out by OECD as found in the latest Oslo Manual

BASIS OF METHODOLOGY DEVELOPMENT (cont.)

The research methodology used in the previous studies so that the data collected can be compared with the previous findings.

Current needs as well as the need to produce better/improved findings.

The need for enhancement and modification to suit current demand.

COVERAGE

Manufacturing Sector (22 industries)Category of small, medium and large scale

industryRecommended from previous study and OSLO

manual

Services sector (8 industries)

The definitions of the categories of small, medium and large industries were based on the definitions currently adopted by the Department of Statistic, Malaysia (DOS) as follows:

 

i. Manufacturing Sector

a) Small : Sales turnover between RM 250,000 and less than RM 10 million or full time employees of 5 to

50;

b) Medium: Sales turnover between RM 10 million to than

RM 25 million or full time employees of 51 to 150; and

c) Large : Sales turnover of more than RM 25 million or full time employees of more than 150.

 

 

COVERAGE (cont.)

COVERAGE (cont.)

ii. Services Sector

a) Small : Sales turnover between RM 200,000 and less than RM 1 million or full time

employees of 5 to 19;

b) Medium :Sales turnover between RM 1 million to than

RM 5 million or full time employees of 20 to 50;

c) Large : Sales turnover of more than RM 5 million or full time employees of full time employees more than 50.

DATA COLLECTION PROCEDURE

1. Sample data - Department of Statistic, Malaysia (DOS)

2. Sending out the questionnaire (postal survey), with returned envelopes

3. Telephone/Follow-up calls made to respondents who did not return the questionnaire as well as those whose responses were incomplete.

4. Workshop / Seminar

SAMPLE SIZE

The sample size; 4,000 manufacturing companies and 1,000 services companies from the Department of Statistic, Malaysia (DOS)

Stratified random sampling was used to ensure a fair distribution; according to zone in Malaysia

SAMPLE SIZE (cont.)Zone Manufacturing ServicesNorth 1006 142Middle 1123 499South 1123 160East 274 60Sabah 161 60Sarawak 313 79Total 4000 1000

National Survey of Innovation Malaysia in manufacturing and services sector 2005-2008

Response Rate

Sector

Innovating Non-Innovating Total

No % No % No %

Manufacturing 524 51.52 493 48.48 1,017 83.91

Services 100 51.28 95 48.72 195 16.09

Total 624 51.49 588 48.51 1,212 100.00

National Survey of Innovation Malaysia in manufacturing and services sector 2005-2008

MALAYSIA EXPERIENCE

How?Staff training -> expertTerm of Reference (TOR) Administrative reportVisiting/workshop/seminar surveySurvey respondentEndorsement - Steering &Technical CommitteeLaunching of Innovation SurveyCarry out briefing Sending out survey kitRoad show

Data Collection Instrument The study shall use suitable methods for data collection;

Survey respondentSurvey kitSurvey questionnaireData collection

○ Interviews○ follow up calls; and ○ site visits to companies with potential of implementing

innovation activities

Survey Kit

Questionnaire Guideline to Questionnaire – a simplified

set of instruction to guide them to fill up the survey form.

Malaysian Standard Industrial Classification (MSIC)

OPERATION

MAJOR ACTIVITY Preliminary Work Preparation of Inception Report Preparation of Questionnaire and Pilot Test Preparation of Sample Frame and Respondent Recruitment and Training of Enumerators Field Work Data Processing Analysis Preparation Interim Report Preparation Summary and Recommendation Preparation Draft of Final Report - input from technical and

steering committee Final Report

OPERATION (cont.)

Preliminary Work

Preliminary work include but not limited to:  Clarifying and understanding the TOR especially the

objective and scope of work Studying and understanding Oslo Manual Examining the questionnaire of the harmonized

Community Innovation Surveys and other related surveys Discussing with DOS pertaining to sample frame

  The bulk of the preliminary activities will be done during the

first two months.

OPERATION (cont.)

Field Work

Field activities toward completing the survey would involve:Sending out questionnairesFollow up callsGroup briefingPersonal visits and interviews

Issues and Challenges No population in number of innovation company Awareness program Not enough staff - outsource to consultant Procurement process Low response rate

Telephone hot-line - was made available to respondents

Training the enumerators - for follow up calls as well as for personal interviews.

Reminder letters – to encourage higher response rateQA – need to ensure correct interpretation of question.

MAIN FINDING / INDICATORS

NATIONAL SURVEY OF INNOVATION MALAYSIAIN MANUFACTURING AND SERVICES SECTOR

2005-2008

Level of innovationsThe results of the survey showed that 51.49% of the totals responding companies were innovative companies (Manufacturing & Services Sector)

Innovation Non-innovation46.50%

47.00%

47.50%

48.00%

48.50%

49.00%

49.50%

50.00%

50.50%

51.00%

51.50% 51.50%

48.50%

Percentage and Number of Innovative Companies

Source: National Survey of Innovation 2005 -2008

Innovation in the Manufacturing and Services Sector

Manufacturing Services47

47.5

48

48.5

49

49.5

50

50.5

51

51.5

51.5 51.3

48.548.7 Innovating

Non-Innovating

Number of Innovations

One - two Three - Four

Five - Six Seven - Eight

Nine - Ten More than Ten

0.0%

5.0%

10.0%

15.0%

20.0%

25.0%

30.0%

35.0% 31.7%

23.6%

17.6%

12.2%

6.9%8.0%

Number of Innovations

Percentages

Percentage of Innovating Companies by Expenditure

10,000 and below

10,001 - 50,000

50,001 - 100,000

100,001 - 500,000

500,001 - 1 mil

Above 1 mil0

5

10

15

20

25

30

35

4038.1

16.79.9

19.7

6.19.5

Percentages of Innovating companies by Expenditure

Percentages

CHARACTERISTIC OF THE COMPANIES SURVEYED

The percentage of foreign owned companies that had undertaken innovation activities was higher at 61.90% compared to locally-owned companies at 48.75%.

48.75%51.25%

Innovating Non Innovating

61.90%

38.10%

Innovating Non Innovating

Locally Controlled

Local and Foreign Ownership Companies

Foreign Controlled

Innovating and Non-innovating Companies According to Firm Size

Large Medium Small0

10

20

30

40

50

60

70

80 74.3

49.4

64.3

25.7

50.6

35.8Percentages Innovating

Percentages Non-innovating

TIMELINE 12 months/ 1 year

Coming survey for 2009-2011: will be conducted in 2012

THANK YOU

Contact: Ms. Sabrina Binti KaminTEL: +603-8885 8110FAX: +603-8889 2980

Website:

http://www.mastic.gov.my

Website:

http://krste.my